Alcatel-Lucent Pension Appeal Paused While SCOTUS Mulls Standing

An appeal over Alcatel-Lucent USA Inc.'s $1.2 billion pension transfer will be put on hold while the U.S. Supreme Court considers whether participants in well-funded pensions can sue over alleged mismanagement.

The Third Circuit paused the case, brought by the Communications Workers of America and Alcatel employees, until the Supreme Court decides a pending dispute involving U.S. Bank’s pension plan.

Both cases ask whether a pensioner’s ability to sue the plan’s fiduciaries varies based on how well the plan is funded. Most federal appeals courts—including the Fourth, Fifth, Sixth, and Ninth circuits—have denied standing ...